Associations between financial literacy and financial distress among healthcare professionals: Evidence from oncology hospital nurses

Abstract

Individual financial health significantly relates to overall well-being and professional performance, representing a critical aspect of human capital. Financial difficulties are associated with financial distress, particularly among professionals in demanding and stressful work environments within key economic sectors like healthcare. Strong financial literacy is crucial for effective personal financial management and achieving financial goals, which may be associated with reduced financial distress and potentially improved performance at both individual and, arguably, organizational levels by potentially mitigating the negative impacts of financial stress on the workforce. This study aimed to examine the relationship between financial literacy and financial distress among professionals working in a challenging field, specifically oncology hospital nurses. Nurses at an oncology hospital completed scales designed to measure financial literacy and financial distress levels, along with sociodemographic information. Path analysis was performed on the obtained data. The analysis results indicated a statistically significant negative association between financial literacy and financial distress. Furthermore, education level and work experience were positively associated with financial literacy. These findings suggest that enhancing financial literacy among healthcare professionals may be a valuable strategy to help mitigate financial distress and potentially improve their overall well-being and job performance, potentially contributing to greater efficiency and stability within the healthcare sector. Promoting financial literacy, particularly among healthcare professionals, may contribute to better financial management and indirectly to organizational stability. In this context, the importance of leadership roles in supporting financial well-being is highlighted.